Delivery and Payment Reform May Stall without Direct Employer Action

While employers find alternative provider delivery models and payment reform attractive, most don’t understand them or the value they provide, according to a survey by Aon Hewitt. As a result, they may miss a significant opportunity to lead and improve the health and financial outlook for their workforce and business. The following are highlights of a survey of more than 220 companies:

• 75% don’t understand payment transformation models

• 51% don’t understand the cost and quality data provided by their carriers related to new models like Accountable Care Organizations (ACOs)

• 71% are unaware or need to learn more about the attribution process and how they contribute to the payment of these new provider delivery models

• 60% are providing or are considering providing a financial incentive for employees and dependents to use these new models through plan design changes, narrow network options, HRA/HSA contributions or cash.

• 24% steer participants (through plan design or lower cost) to high quality hospitals or physicians for specific procedures or conditions, and another 56% are considering doing so in the next three-to-five years.

• 18% use integrated delivery models, such as patient-centered medical homes, to improve primary care effectiveness, and another 56% plan to do so in the next 3-5 years.

• 11% contract directly with hospitals or other health providers in specific locations, and another 28% plan to do so.

• 10% have adopted reference-based pricing, and another 58% plan to do so.

“Employers are increasingly making innovative provider network structures an important part of their strategy, which will help to improve health care purchasing and shift the payment focus towards value based reimbursement and support providers who produce higher quality outcomes,” said Mike Taylor, senior vice president of Delivery System Transformation at Aon Hewitt.

Last Updated 10/20/2021

Arch Apple Financial Services | Individual & Family Health Plans, Affordable Care California, Group Medical Insurance, California Health Insurance Exchange Marketplace, Medicare Supplements, HMO & PPO Health Care Plans, Long Term Care & Disability Insurance, Life Insurance, Dental Insurance, Vision Insurance, Employee Benefits, Affordable Care Act Assistance, Health Benefits Exchange, Buy Health Insurance, Health Care Reform Plans, Insurance Agency, Westminster, Costa Mesa, Huntington Beach, Fountain Valley, Irvine, Santa Ana, Tustin, Aliso Viejo, Laguna Hills, Laguna Beach, Laguna Woods, Long Beach, Orange, Tustin Foothills, Seal Beach, Anaheim, Newport Beach, Yorba Linda, Placentia, Brea, La Habra, Orange County CA

12312 Pentagon Street - Garden Grove, CA 92841-3327 - Tel: 714.638.0853 - 800.731.2590
Email:
Jay@ArchApple.com
Copyright @ 2015 - Website Design and Search Engine Optimization by Blitz Mogul